Jackson Hewitt In Talks On Potential Prepack Ch. 11

Law360, New York (March 10, 2011, 3:08 PM EST) -- Jackson Hewitt Tax Service Inc. on Thursday said it was in talks with lenders to find a “mutually satisfactory” restructuring of the tax preparer's balance sheet, including a possible prepackaged bankruptcy filing.

In a quarterly filing with the U.S. Securities and Exchange Commission, Parsippany, N.J.-based Jackson Hewitt said it would execute definitive documentation for its restructuring by April 29.

Throughout 2010, Jackson Hewitt ran into trouble funding its refund anticipation loan program, which allows customers to take out loans from the company based on expected refunds...